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Philips readies to capture mobile phone market

The Indian unit of Philips Electronics NV said on Wednesday that it would step up efforts to grab a bigger slice of India's mobile phone handset market. The market is said to be the fastest growing in Asia-Pacific.

"We are aiming to get eight per cent market share this year," Bob McDougall, general manager, Philips Consumer Communications Division in India, told a news conference at the launch of the firm's new handsets.

According to his estimation, Indians would buy more than two million mobile phones in 2001 as India's cellular subscribers are growing at a faster pace after years of lacklustre growth.

He said that Philips had a market share of five to six per cent in mobile phone handsets globally, but did not specify its current market share in India, which is dominated by leading mobile phone makers Nokia, Ericsson and Samsung.

India had 2.93 million mobile phone subscribers at the end of November 2000, up 82.8 per cent from 1.6 million at the beginning of January.

McDougall said that the firm's handsets would be priced attractively, ranging from Rs 7,000- 20,000. He added that the firm had tied up with Agrani Convergence, a group firm of India's Zee Telefilms , to distribute its products.

Philips India is 51 per cent held by Dutch firm Royal Philips Electronics NV. The Dutch parent had offered to buy out the remaining 49 per cent in the Indian firm as well.

The firm makes television sets, lighting equipment, audio-systems and domestic appliances in India.

Philips India's shares closed at Rs 81.40 on Wednesday at the Bombay Stock Exchange, down Rs 0.55 from their previous close.

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